States Challenge Suspension of Biden-Era EV Programs
A total of 16 U.S. states and the District of Columbia have filed a lawsuit against the Trump administration, accusing it of unlawfully withholding billions of dollars approved by Congress for electric vehicle (EV) charging infrastructure.
The lawsuit, filed in U.S. District Court for the Western District of Washington, targets the Department of Transportation (USDOT) and the Federal Highway Administration for freezing two major grant programs created under the Bipartisan Infrastructure Law.
At the center of the dispute are roughly $2.5 billion from the Charging and Fueling Infrastructure (CFI) program and about $350 million from the Electric Vehicle Charger Reliability and Accessibility Accelerator. State attorneys general argue that USDOT has refused to approve new funding obligations, effectively “impounding” money already authorized by Congress. California Attorney General Rob Bonta called the move unconstitutional, saying it violates the separation of powers by overriding bipartisan spending decisions.
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California Leads a Multi-State Legal Push
California, Washington, and Colorado lead the lawsuit, joined by attorneys general from Arizona, Delaware, Illinois, Maryland, Massachusetts, Michigan, New Jersey, New York, Oregon, Rhode Island, Vermont, Wisconsin, Pennsylvania, and Washington, D.C. California alone stands to lose nearly $180 million earmarked for charger construction, repair, and freight corridor electrification, according to state officials.
Bonta said the suspension threatens dozens of state and local projects already in motion, including efforts to fix broken chargers and expand fast-charging access along major freight routes. “This is just another reckless attempt that will stall the fight against air pollution and climate change, slow innovation, thwart green job creation, and leave communities without access to clean, affordable transportation,” he said. According to the report from Reuters, the USDOT did not immediately respond to comment.
Part of a Broader Trump EV Rollback
The legal fight is the latest flashpoint in President Donald Trump’s broader rollback of EV-friendly policies enacted under former President Joe Biden. Since returning to the office, Trump has moved to end the $7,500 federal EV tax credit, proposed weakening fuel economy and tailpipe emissions standards, and signed measures blocking California’s plan to phase out gasoline-only vehicle sales by 2035.
In February, the administration also suspended the separate $5 billion National Electric Vehicle Infrastructure (NEVI) program, prompting an earlier lawsuit from many of the same states. A federal judge later ordered the release of much of that funding, setting a precedent the states hope will apply again. Trump has repeatedly criticized federal EV investments, claiming that charging programs have wasted billions for minimal results.
Industry Impact and What’s at Stake
The lawsuit comes as EV adoption in the U.S. shows signs of slowing, with consumers citing charging availability and higher prices as key concerns. According to Kelley Blue Book, new EVs still transact at a significant premium compared with the broader market, making reliable public charging even more critical for mainstream buyers. Automakers such as Ford and Honda have recently scaled back aggressive EV expansion plans in favor of hybrids and more efficient gasoline models.
State officials argue that freezing charging funds only worsens those challenges, creating a self-fulfilling slowdown in EV demand. California Gov. Gavin Newsom said the state is prepared to fight, calling the lawsuit essential to protecting both climate goals and economic growth. For now, the case adds another chapter to an escalating legal battle over the future of U.S. transportation policy and who ultimately controls the nation’s shift toward electrification.
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